CG Asset Management – Focus on absolute returns

The CG Asset Management (CGAM) team’s focus on medium-to-long-term absolute returns, coupled with its excellent track record has attracted a loyal following of investors. This note describes:

  • CGAM’s business;
  • its investment approach; and
  • two of its absolute return funds:

Manager of the top-performing investment company

Since 1982, when Peter Spiller, CGAM’s chief investment officer, assumed responsibility for Capital Gearing Trust, it has been the best performing of all conventional investment companies. Capital Gearing Trust’s success has allowed CGAM to launch a number of open-ended, UCITS funds. One of these, CG Absolute Return Fund, has many of the same characteristics as Capital Gearing Trust, offers a liquid way of accessing this strategy and, unlike some of the other funds in CGAM’s stable, it is open to new investors.

Sure and steady

Capital Gearing Trust (CGT)’s managers believe that it has built an enviable long-term track record by focusing on the preservation of its shareholders’ wealth, even when adjusted for the effects of inflation. This has attracted a loyal investor base.

There will be times when the managers adopt a cautious stance and the trust lags rising equity markets. This is the situation that we find ourselves in today. The managers believe that valuations of most asset classes are stretched close to breaking point. The portfolio is positioned in short duration, liquid assets, awaiting a more favourable investment environment.

CGT : CG Asset Management – Focus on absolute returns